The rumours surrounding Old Mutual plc have been proved true after the investment group officially acquired 100 percent of South African money management service 22seven “as part of its strategy to develop digital support for its customers”.
HumanIPO reported in January reported there had been rumours of the acquisition since the fourth quarter of last year, but today the young tech startup and the large established global financial services brand said that they “found they shared a closely aligned vision”.
This it seems was the strong basis for a long-term partnership which resulted in Old Mutual acquiring 22seven.
Christo Davel, 22seven Chief Executive, said: “We’re fired up about where we can now take 22seven, and I don’t just mean geographically.
“We’ve always had big plans for our service, and what we think it’s capable of doing. With Old Mutual’s support, the evolution and enhancement will happen much faster.”
This announcement means that Cape Town based 22seven will now be wholly-owned by the long-term savings, protection and investment group.
Old Mutual’s Strategic Marketing Director, Carlton Hood, said: “We’re excited about the acquisition. 22seven brings energy, innovation and world-class capability to our global digital strategy, and has already helped so many people change the way they think about money.
“Old Mutual is serious about helping people realise their goals, a huge part of which is helping them to understand their financial decisions better. 22seven gets that, and does it brilliantly,”
22seven’s platform combines elements of behavioural science, technology and “gamification”, making it more engaging for its customers to look at their money and make better financial decisions.
The tech startup said that their current team will remain the “foundation of a group that will expand over time”, and will stay in their Cape Town office.
